Touching $11,000, bitcoin price is gaining momentum and is expected to rise in the near future. Among many factors suggesting bitcoin price to surge, the golden cross is the latest factor that hints bitcoin to reach an all-time high (ATH). As per the last golden cross that happened in February 2016, investors saw as much as 4,900% returns on bitcoin.
Based on bitcoin’s three-day charts, while expecting history to repeat, the hopes of the enthusiasts and investors in the crypto space regarding the price of bitcoin have reached a new high.
A golden cross is a very prospective indicator for investors as it suggests that a bull market lies ahead. Basically, a golden cross occurs when a shorter-term moving average (MA) crosses a longer-term MA. As bitcoin’s 50 week MA crossed above its 200 week MA, bitcoin has triggered a golden cross.
BULLISH: The 50MA crossed above the 200MA on the 3-day BTC/USD chart, forming a so-called golden cross. The last time this happened was in February 2016. pic.twitter.com/WplNLcuTmc
— Bitstamp (@Bitstamp) August 2, 2019
Although golden cross suggests a bull run, there is a possibility for bitcoin to pass-through a death cross followed by another golden cross before kicking a massive bull run. Death cross, the opposite of golden cross, signals for a bear market in the near future.
Previously, the events went in this order before the price of bitcoin burst from $400 to $20,000. However, it took about a year and a half for bitcoin price to bag an ATH after a golden cross was triggered. If the same course of the path is to be followed, bitcoin should be attaining its new time high in December 2020. With 4,900% growth, the price of bitcoin could surge as much as $500,000.
Since the beginning of 2019, bitcoin has experienced great growth in contrast to the bear market of 2018. Apart from the golden cross, some other technical indicators also suggest that bitcoin’s price is very likely to rise above the $11,000 threshold.
Recently, the chairman and the founder of NodeSource, Joe McCann, also an analyst, evaluated bitcoin’s one-day chart with Moving Average Convergence Divergence (MACD), an indicator that follows trends. His findings revealed a bullish crossover, coinciding with the golden cross in the aspect that bitcoin’s price will increase.
There’s only one chart and one meme you need for #bitcoin today.
This one. pic.twitter.com/yVfvTlIqfD
— Joe McCann (@joemccann) August 2, 2019
Bitcoin has already gone through a bullish crossover twice in the past. Following the crossover, within the time span of two to three weeks, bitcoin price saw 52% and 61% gains respectively. Therefore, the present price of bitcoin could reach as much as $17,000 in the next month if the after-effects like the ones in the past repeat.
Another notable personality in the space, Josh Rager who is the co-founder of Blockroots also suggest a rise in bitcoin’s price. He thinks that the $11,000 mark would be surpassed by bitcoin.
Bitcoin has been strong over the past week
With this bullish break of resistance, would like to see price retest the support area followed by continuation over $11k+
Nice way to start the weekend 📈 pic.twitter.com/cFMozdDu6W
— Josh Rager 📈 (@Josh_Rager) August 3, 2019
While several experts and technical indicators shared their opinion regarding the world’s largest cryptocurrency by market cap, the founder of The Bitcoin Foundation, Charlie Shrem anticipated the future of bitcoin as well. According to his recent Tweet, with the bitcoin halving, buying activity is likely to increase as compared to selling activity.
He thinks that despite the price surges, people won’t sell bitcoin. If this actually happens and things go as suggested by Shrem, the fundamentals of supply and demand for bitcoin will be affected and there’s a possibility that aforementioned predictions don’t take place at all.
Bitcoin halving will be taking place next year and in addition to changes in trading activity, the price of the bitcoin is also expected to alter. It would be of interest to see how the truly decentralized cryptocurrency responds to phenomena of halving while cooping up with today’s analysis of experts.
As we hit more #bitcoin halvings, people will realize the supply is becoming severely limited and we will see a mass rush of more buying and less bitcoin hitting exchanges. I wouldn’t be surprised if exchange volume declines as the price increases as less people will want to sell
— Charlie Shrem (@CharlieShrem) August 2, 2019